Friday, June 20, 2014

Economist's Notebook: Louisiana adds nearly 100 new locations in 2013

The National Restaurant Association's Chief EconomistBruce Grindyanalyzes trends in
restaurant unit growth on the state level. California led the nation in
restaurant establishment growth in 2013, followed closely by New York. In
percentage terms, Kentucky set the pace with a solid 5.1 percent gain in restaurant
locations.

Nationally, the restaurant industry added a net 8,362
eating and drinking place establishments* in 2013, according to newly-released
data from theBureau of Labor
Statistics. The 2013 expansion followed stronger gains of
9,944 locations in 2011 and 11,649 locations in 2012.

On the state level, trends were generally positive in
2013. Forty states added eating and drinking place locations in 2013,
while only 11 states (including the District of Columbia) experienced a decline
in units.

Like the recent national trends, growth was somewhat less
widespread on the state level in 2013, relative to the two previous
years. Forty-two states added locations in 2011, while 44 states saw unit
growth in 2012.

California led the nation by adding a net 1,368 eating and
drinking place locations in 2013, followed closely by New York with a net
increase of 1,237 units. Texas added a net 986 restaurant establishments
in 2013, which represented the first time in four years that the Lone Star
State didn’t add at least 1,000 units.

Florida, after leading the nation in 2012 by adding 1,714
units, expanded its restaurant industry by 818 locations in 2013.

In percentage terms, Kentucky led the way with a solid 5.1
increase in eating and drinking place establishments in 2013. South
Carolina saw its restaurant industry expand by 3.8 percent in 2013, while Iowa
added locations at a 3.6 percent rate.

Louisiana saw a modest increase of 1.2 percent new restaurant
locations in 2013, up 99 locations over the previous year’s 8,307.

In contrast, Minnesota lost a net 126 eating and drinking
place locations in 2013, a 1.3 percent drop from its 2012 level. North
Carolina lost a net 84 eating and drinking place establishments in 2013, while
the District of Columbia’s eating and drinking place sector shrunk by a net 68
locations.

*The establishment
figures, which are based on unemployment insurance filings of businesses that
have wage and salary employees, represent the most comprehensive census of
establishments with payroll employees on the national, state and local levels.